Microsoft's motivations to block rivals after the EU's Activision deal was launched: Details

Microsoft's motivations to block rivals after the EU's Activision deal was launched: Details ...

According to an EU report, EU antitrust regulators will consider whether or not Microsoft will facilitate competitors'' access to Activision Blizzard''s best-selling games. According to an EU statement, Microsoft has proposed to acquire Activision for $69 billion (approximate Rs.5,67,600 crore) from the EU.

According to the EU document, the EU competition enforcer asked whether Activision''s enormous user data would give the USsoftware giant a competitive advantage in the development, publication, and distribution of computer and console games.

The acquisition, which is the biggest in the gaming industry, will help Microsoft compete better with Tencent and Sony.

After its decision on November 11, the European Commission is expected to begin a four-month long investigation, expressing regulatory concerns about Big Tech acquisitions.

Games developers, publishers, and distributors were asked if the transaction would have an impact on their bargaining power over the terms of selling console and PC games via Microsoft''s Xbox and its cloud game streaming service Game Pass.

Regulators wanted to know if there would be enough alternative suppliers on the market following the transaction, and in the event Microsoft decides to make Activision''s games exclusively available on its Xbox, its Games Pass, and its cloud game streaming services.

They asked how important the Call of Duty franchise is for console games distributors, third-party multi-game subscription services on computers, and providers of cloud game streaming services.

According to a questionnaire, which of Nvidia''s GeForce Now, Sony''s PlayStation, Google Stadia, Amazon Luna, and Facebook Gaming might be considered the most attractive following the agreement.

Respondents must submit their responses until October10.

2022 Thomson Reuters